You will receive an offer letter stating the terms under which the landlord is prepared to sell their freehold interest to you.
The offer figure reflects the value that the landlord places on their interest in the property at the time of your application and it includes:
The offer will be valid for acceptance for 90 days.
HomeGround and the landlord are only able to negotiate with the current owner of the property.
The landlord’s offer sets out the price the freeholder is willing to sell the freehold title relating to your leasehold interest for. It represents the long-term value the freeholder attributes to their freehold interest.
Since HomeGround do not represent former owners of the freehold title, we will not have been privy to any previous discussions you may have had during that period of ownership.
However, we would like to emphasise that offer figures issued on behalf of our clients are negotiable and if you feel that a previous offer was more representative of the value of the freehold you have the option of taking independent advice and of putting forward a counter-offer, which will receive due consideration.
This is a legal transaction between a leaseholder (the buyer) and a freeholder (the seller) that is similar in some ways to the conveyancing process when you bought your leasehold property. As it is a contractual arrangement, we recommend that you obtain independent professional advice (such as legal and/or valuation advice), as you did when you acquired your leasehold.
The information within the FAQs should give an overview of the options. If you need more information you can contact us at email@example.com or through the online contact form, and our team will try to help you further.
If the lease on your flat is older than 200 years, you cannot extend it.
Once a lease term falls below 80 years the premium for an extension may increase. So it is common practice for most leaseholders to extend their lease before it falls below 80 years.
If you own a house and want to extend your lease, you will need to use the formal negotiation route. There is more information on formal negotiations below.
If you meet the minimum criteria set out in the Leasehold Reform Housing & Urban Development Act 1993 you have a right to extend your lease.
Depending on what terms you are seeking as part of the extension, you can choose to enter formal or informal negotiations.
Formal negotiations will require you to obtain independent legal, and usually valuation, advice.
Many leaseholders prefer to negotiate directly with their freeholder, without following the procedures set out under the 1993 Act. This process is known as informal negotiations.
As this is a legal transaction, you should first get independent professional advice (legal and/or valuation advice), as you would have done when you acquired your leasehold property.
Whether you use the team who did your original conveyance or you want to appoint a new team, useful guidance is available from independent resources, such as the Leasehold Advisory Service (http://www.lease-advice.org).
The landlord clients of HomeGround Management Ltd are willing to enter into informal negotiations with their leaseholders. You can apply for a leasehold extension and pay the administration fee through your personal account on the HomeGround portal.
To register for a personal account you need your alphanumeric security key and your 12-digit customer reference number. These should be on your HomeGround invoice or your welcome letter and you can register here.
If you have already registered on our portal and need help with your password, please click here.